Kenya’s Agriculture Cabinet Secretary Peter Munya has said the country is trying to boast up their struggling sugar sector, which has suffered due to competition from the neighbouring markets such as Uganda hence banning the importation of sugarcane products.
The decision that was taken to ban the importation of Sugarcane products has made dealers in the country to face hard times.
According to the source, trucks ferrying sugarcane to Kenya have queued up at the Busia border point, which has led to the great losses, considering the ban.
Amelia Kyambadde, the minister of trade, industry and cooperatives recently said that Uganda has a good sugar market with a surplus of 48,000 metrics tonnes. In April, Uganda scored a deal to supply brown sugar to Tanzania.
“Our Sugar Industry comprises of 11 functional Sugar Mills producing 510,000 metric tonnes and consumption is 360,000 metric tonnes per annum. Surplus is 150,000 metric tonnes and sufficient for export,” She said.
Officials from the Minstry of trade said that there were discussions with the sugar association in Uganda so that the challenges in the sugarcane industry is mitigated.
Officials also added that some traders don’t have trade permits.
This latest blockade of Kenya onto Ugandan goods is most likely to affect relations between the two countries and the East African Community common market.
Uganda started exporting sugarcane to Kenya, following bilateral talks between President Museveni and Uhuru Kenyatta, in which it was agreed that Uganda sells its surplus sugarcane to the Busia Sugar factory in western Kenya.
Although the agreement came with stringent measures, Uganda’s out-growers had strived to fulfil them up to date. According to the deal, Uganda would export between 36,000 tonnes and 90,000 tonnes of sugar annually to Kenya.